Service tax

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

03 September 2013 Dear Sir
We are a manufacturaing unit but we are giving service to other unit by doing labour job, should we liable for service tax.
thanks & regards
Sandip

Arun Kumar Singh

Arun Kumar Singh (Expert)
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03 September 2013 Carrying out an intermediate production process as job work in relation to -

(a) agriculture, printing or textile processing;
(b) cut and polished diamonds and gemstones; or plain and studded jewellery of gold and other precious metals, falling under Chapter 71 of the Central Excise Tariff Act ,1985 (5 of 1986);
(c) any goods on which appropriate duty is payable by the principal manufacturer; or
(d) processes of electroplating, zinc plating, anodizing, heat treatment, powder coating, painting including spray painting or auto black, during the course of manufacture of parts of cycles or sewing machines upto an aggregate value of taxable service of the specified processes of one hundred and fifty lakh rupees in a financial year subject to the condition that such aggregate value had not exceeded one hundred and fifty lakh rupees during the preceding financial year; exempt from service tax under mega exemption No. 25/2012-ST.

Querist : Anonymous

Querist : Anonymous (Querist)

03 September 2013 Sir
actualy we are Ball Pen manufacturer and we are doing job work for other manufacturer doing assembly of ball point pen. In that case what is the applicable service tax?

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CA Suresh Jain

CA Suresh Jain (Expert)
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04 September 2013 As per section 66D (f) of service Tax any process amounting to manufacture or production of goods is not taxable.

The assembly of ball pen is cover under the aforesaid clause of negative list and hence service tax is not payable

disclaimer- all answers are given as per the facts narrated by you. Answer may differ after study of full facts/statements/agreements etc. involved in the case